Saudi NDMC: first international dollar bonds offering during ‎‎2023 completed, at a value of $10 billion

The National Debt Management Center announced the completion of receiving investor requests for the first international issuance during the year 2023 of bonds within the International Bond Program of the Government of the Kingdom of Saudi Arabia.

The total volume of subscription requests reached nearly $38 billion, with the coverage ratio exceeding 3.8 times the total issuance, which amounted to $10 billion (equivalent to 37.50 billion riyals) divided into three tranches, according to the Saudi Press Agency, “SPA”.

The first tranche amounted to $3.25 billion (equivalent to 12.19 billion riyals) for 5-year bonds due in January 2028, while the second tranche amounted to $3.50 billion (equivalent to 13.13 billion riyals) for 10.5-year bonds due in July. In 2033, while the third tranche amounted to $3.25 billion (equivalent to 12.19 billion riyals) for 30-year bonds due in January 2053.

This step is part of the strategy of the National Center for Debt Management to expand the investor base for the purpose of meeting the Kingdom’s financing needs from global debt markets efficiently and effectively. The volume of demand by international investors for government debt instruments reflects their confidence in the strength of the Saudi economy and the future of investment opportunities in it.